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3 years ago

Supply-side economics is based on the theory that if taxes are reduced, _____.

Business

2 answers:

Ivahew [28]3 years ago

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People will have more incentive to work and more money to spend

MA_775_DIABLO [31]3 years ago

5 0

Answer:

the economy will start to grow at higher rates, i.e. more tax cuts = more economic growth

Explanation:

Supply-side economists believe that low marginal tax rates favor higher income, higher output, and greater efficiency of resource use. Supply side economics is a type of neoclassical economics which was primarily used by President Ronald Reagan.

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The beginning inventory at Midnight Supplies and data on purchases and sales for a three month period ending March 31 are as fol

larisa86 [58]

Answer:

1. Journal Entries

January 1

Dr. Inventory $624,000

Cr. Account Payables $624,000

January 10

Dr. Account Receivables $532,000

Cr. Sales $532,000

January 28

Dr. Account Receivables $175,000

Cr. Sales $175,000

Dr. Cost of Goods Sold $276,400

Cr. Inventory $276,400

January 30

Dr. Cost of Goods Sold $97,500

Cr. Inventory $97,500

February 5

Dr. Account Receivables $70,000

Cr. Sales $70,000

Dr. Cost of Goods Sold $39,000

Cr. Inventory $39,000

February 10

Dr. Inventory $1,360,000

Cr. Account Payable $1,360,000

February 16

Dr. Account Receivables $1,319,500

Cr. Sales $1,319,500

Dr. Cost of Goods Sold $718,100

Cr. Inventory $718,100

February 28

Dr. Account Receivables $1,261,500

Cr. Sales $1,261,500

Dr. Cost of Goods Sold $696,000

Cr. Inventory $696,000

March 5

Dr. Inventory $1,166,880

Cr. Account Payables $1,166,880

March 14

Dr. Account Receivables $1,421,000

Cr. Sales $1,421,000

Dr. Cost of Goods Sold $793,040

Cr. Inventory $793,040

March 25

Dr. Inventory $246,000

Cr. Account Payable $246,000

March 30

Dr. Account Receivables $1,145,500

Cr. Sales $1,145,500

Dr. Cost of Goods Sold $644,640

Cr. Inventory $644,640

* Assuming Purchases and Sales are made on Account

Sales Value = $5,924,500

Opening Inventory = $175,000

Closing Inventory = $307,200

Purchases = $3,396,880

Cost of Goods Sold = $3,264,680

Gross Profit = $2,659,820

As the prices are increasing the Inventory value using last-in, first-out will be lower because all the unit sold at last are sold and inventory of the old items which was purchased on the lower cost remains in the closing inventory. The cost of Goods sold will be higher in this case.

Explanation:

First In First out (FiFO) is an Inventory method which determines the inventory value and it requires that the unit purchased first will be sold first.

Cost of Goods Sold = Opening Inventory + Purchases - Closing Inventory

Cost of Goods Sold = $175,000 + $3,396,880 - $307,200 =

Gross Profit = Sales Value - Cost of Goods Sold

Gross Profit = $5,924,500 - $3,264,680

Gross Profit = $2,659,820

Inventory Working is made in a MS Excel File, which is attached with this answer please find it.

Download xlsx

6 0

4 years ago

The Net Promoter Score measures: Group of answer choices the degree to which a viewer promotes the product. revisits to the p

marysya [2.9K]

Answer:

The Net Promoter Score measures: (A) the degree to which a viewer promotes the product, (C) satisfaction and its (D) loyalty.

Explanation:

Net Promoter Score or NPS is a variety of index that is given to the customers of a product or service by the brands to know how they feel about the product and the brand. Primarily, the NPS is concentrated on understanding how much the customer is willing to promote or recommend the company's product or service to others. Additional fields that the NPS targets are customer satisfaction and how much the customers are loyal to the brand.

Hence, alternatives A, C, and D are correct for the Net Promoter Score.

5 0

4 years ago

On November 30, Year 1, Parlor, Inc. purchased for cash at $15 per share all 250,000 shares of the outstanding common stock of S

zepelin [54]

Answer:

$275,000

Explanation:

Goodwill in business combination arises when the price paid in acquiring a business exceeds the fair value of the acquired business net assets . The fair value is used rather than the carrying amount to ensure fairness and an unbiased result

Workings

Purchase consideration = 250,000*15 =3,750,000

Percentage acquired = 100%

Fair value of net asset = 3,000,000+400,000+75,000= 3,475,000

Goodwill = 3,750,000=3,475,000 =275,000

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4 years ago

When the attitude of continuous improvement exists throughout an organization, every manager and employee is challenged to conti

JulsSmile [24]

Answer:

Option A

True

Explanation:

The attitude of continuous improvement entails that the members of an organization strive to improve on themselves, operations, and processes within the organization. It usually entails learning from both mistakes and business practices of other companies to ensure that there is a constant improvement in the day to day activities of the business.

During the process of continuous improvement, every manager and employee is definitely expected to try out new policies, and practices to see how well they fit in and aid the company to achieve her overall business goals.

This is the only way a strong "continuous improvement " attitude can be maintained company-wide.

Hence, the answer is option A: True.

7 0

4 years ago

How physical assets valuation and development and research pose risk.

Alex Ar [27]

Answer:

The differences between US GAAP and IFRS pose an extra cost because international corporations must prepare two separate accounting statements. But besides that, other potential risks include paying higher taxes than what the companies should pay int their home countries and the uncertainty generated by changing rules.

Not only do current tax rates affect potential investments, e.g. currently companies in the US pay relatively low corporate taxes (Tax Cuts and Jobs Act of 2017) but these benefits end on 2025. But also different methods for valuating physical assets and R&D costs can represent higher than expected taxes. E.g. depending on a company's needs, it may be beneficial to expense all R&D costs right away, or maybe it would be better to capitalize some of them after technical feasibility is achieved (IFRS).

The main advantage of having uniform rules (e.g. UCC) is that all the companies know exactly what to expect and how to act. Certainty decreases risk, and less risk reduces costs.

Explanation:

In the US, the vast majority of firms use US GAAP as their accounting method, but around the world the IFRS method is used.

Physical asset valuation is the process of determining the value of your physical assets including P, P & E, and also inventories.

When valuing inventories IFRS uses FIFO, while US GAAP allows FIFO, LIFO or weighted average costing methods. US GAAP also values inventory at lesser of cost or market value, while IFRS values inventory at lesser of cost or net realizable value.
US GAAP uses the cost method to determine the historic cost of an asset, while IFRS uses basically the same method but does not include all the costs of location of the assets (e.g. cost of removing or clearing a facility).
US GAAP recognizes non-monetary exchanges while IFRS doesn't.
IFRS also allows the cost of asset to be revalued, which can result in unrealized gains or losses. The US GAAP only considers historic costs.
There are also other minor differences regarding depreciation, disposals and impairment rules.

Research and development must be expensed right away under US GAAP, while IFRS basically requires the same, it allows some capitalization of development expenditures if certain criteria is met (technical feasibility is achieved).

7 0

3 years ago